LINE launches cryptocurrency and blockchain network

The Japanese messaging giant will list the crypto tokens, called LINK, on its own cryptocurrency exchange BITBOX

Japanese messaging giant LINE has launched its blockchain network LINK Chain along with LINK, the cryptocurrency that will run on it.

In an official press release, LINE said it will be not conducting an Initial Coin Offering (ICO) and will instead be issuing LINK tokens to users who engage with any LINK Chain-powered decentralised apps (dApps), which includes those built by LINE as well as external developers.

LINE plans to list LINK on its own cryptocurrency exchange BITBOX in September. LINE users will then be able to acquire LINK tokens via this exchange.

The LINK tokens will be used to make payments or claim rewards within the dApp services, which span categories such as commerce, social, gaming, exchange and more.

BITBOX will provide exclusive benefits to LINK holders, such as payments or discounts on trading fees and other promotional events.

“Over the last seven years, LINE was able to grow into a global service because of our users, and now with LINK, we wanted to build a user-friendly reward system that gives back to our users,” said LINE CEO Takeshi Idezawa, in a press statement.

“With LINK, we would like to continue developing as a user participation-based platform, one that rewards and shares added value through the introduction of easy-to-use dApps for people’s daily lives.”

1 billion LINK tokens will be issued gradually. Of that amount, 800 million will be allocated for users, while 200 million will be placed under reserve by LINE’s Singapore-based subsidiary LINE Tech Plus, the issuer of LINK.

Interestingly enough, LINE’s crypto initiative will not be available in its home country yet. The company has not been given the green light for cryptocurrency trading and exchanges by the regulatory authorities in the country.

To work around that, Japanese LINE users will be issued LINK Points as rewards for activities in dApp services instead of LINK.

The LINK Point, however, cannot be deposited, withdrawn, transferred, traded or exchanged at cryptocurrency exchanges, including BITBOX.